In managing the corporate portfolio, the BCG matrix would suggest that
A)Dogs should be invested in to increase market share and become Cash Cows.
B)Stars are in low growth markets and can provide excess cash to fund other opportunities.
C)Cash Cows require substantial cash outlays to maintain market share.
D)Question Marks can represent future Stars if their market share is increased.

Question

Quizplus · Accepted Answer

Each of the four quadrants of the BCG Portfolio grid has different implications for the SBUs that fall into that category. Question Marks are SBUs competing in high-growth industries but having relatively weak market shares. Resources should be invested in them to enhance their competitive positions, potentially making them Stars.

In Managing the Corporate Portfolio, the BCG Matrix Would Suggest